Car loans getting cheaper

Most of the car companies are now very decisive in their plans to reduce the loan rates for various models. This very important decision has been taken after the reduction in cash reserve ratio, repo rate and reverse repo rate by the Reserve Bank of India. Banks like Mahindra Prime and ICICI have reduced the lending rates of loans by 50 basis points (bps). HDFC bank is also working on the concept and within a short span of time they will be making the debut a real market owing sotuation. All it is expected to be followed shortly with in a little span of time.
At present Kotak bank is offering loans at the rate of 14 percent, earlier the loan lending rate was around 14.5 percent. This very step will going to increase the market potentiality of these banks along with the increasing public interest in taking the loans.